Gormley: AIB pay rises do not make sense

The Minister for the Environment John Gormley says moves by AIB to award staff a 3% pay increase do not make sense.

It has been reported that the bank is to follow Bank of Ireland's lead and sanction the increase at a time when other industries are implementing pay cuts or freezes.

Minister Gormley says businesses need to be careful of the signals they are sending and says the Government has held talks on the matter.